Although getting DIP financing would be much more significant news, this is definately a good thing. I would gather that if the creditor commitee didn't think that there was a chance this company could make it, they would have elected to pull the plug on renewing leases/mortgages. And the fact they are keeping all 70 instead of downsizing makes me happy.

Quoting JayDavis (Reply 1):I heard through the grapevine though that during the bankruptcy, they could not do any International charters, this is the reason why they quit flying for MLT vacations out of DFW Airport.

I believe (?) they are still flying the Apple Vacations charter MDW-CUN.

I would take the simpler view - that with the cancellation of the Republic contract, Frontier needs most of its aircraft for its own flying.

The four planes are SOLD. These are the 70 remaining aircraft. DIP financing is needed, not today, not tomorrow, but it is needed. I think right now management is holding out for the best deal. As we all know this is a rapidly changing market, no need to rush into anything that you might regret later. United's rapid shrinking is only going to help F9. WN isn't the death knell that it is made out to be for F9. So things while aren't all roses for F9 right now, it could be worse, much worse.

The above comments are my personal comments and in no way should be viewed as the views,policy or statements of JetBlue

I'm hoping they keep N812FR for a while. This plane was named "Benny", like me, and was delivered and registered on my birthday. It just happens that one of my best friends works at Frontier... so I like to think it was named after me and is not just a coincidence.

Quoting Spin25 (Thread starter):According to the Denver post Frontier has paid up and kept leases on all 70 airplanes.

That is a little deceptive. Frontier's leases/mortgages are generally way below market value which is how they made so much money on their recent sales of 4 planes. They would have to be stupid to return a plane where they are paying 80% of market value. They will probably attempt to sell or sub-lease these planes rather than returning them as a result, so it doesn't surprise me they kept all the planes. OK, the A318s were a little surprising!

I believe it ended around Christmas last year and was taken over by USA3000 out of ORD.

Quoting Petteri (Reply 10):United's rapid shrinking is only going to help F9. WN isn't the death knell that it is made out to be for F9.

It's a little ridiculous that people say "United's reduced capacity will really help Frontier", but in the same breath say "Southwest's increased capacity isn't hurting Frontier". People say it because the company wants you to believe it, but you shouldn't. If you do believe it, you can be first in line to provide DIP financing.

The answer is that UA's cuts, if they are in Frontier markets, will help Frontier quite a bit, but Southwest's additions are as much or more damaging. The other thing is that Southwest will add more flights as a result of UA's cuts just to keep up the pressure on F9. Wait and see.

By the way, we now have February data and Lynx isn't looking any better:DEN-RAP 43% LFDEN-TUL 50%DEN-ICT 52%DEN-OKC 59%
...and so on.

Quoting Enilria (Reply 15):The answer is that UA's cuts, if they are in Frontier markets, will help Frontier quite a bit, but Southwest's additions are as much or more damaging.

This is just not true. F9 yields on WN shared routes usually go UP not down, and the load factors are higher.

Quoting Enilria (Reply 15):By the way, we now have February data and Lynx isn't looking any better:

True, for now the loads are low, but these Lynx markets are almost all new. Also did you take a look at the RASM for Lynx? Not bad. This is a growth area for F9 and the dividends are just starting to payoff.

The above comments are my personal comments and in no way should be viewed as the views,policy or statements of JetBlue

Keep in mind, with this move Frontier simply has elected to accept the leases as they exist, and did not contest their terms.

I suspect that with the rush into Ch11, Frontier has not had enough time to thoroughly review things to date, however might reopen the topic at a later stage and could very well try to push for new terms, or even return planes as its future business plans require.

Quoting LAXintl (Reply 21):I suspect that with the rush into Ch11, Frontier has not had enough time to thoroughly review things to date, however might reopen the topic at a later stage and could very well try to push for new terms, or even return planes as its future business plans require.

They may indeed.

However, while the actual Chapter 11 filing, and the circumstances of it, may have been unexpected, I think it is now fairly well established that the possibility of filing - and thus plans for it - were some way from being "a rush".

Quoting Mariner (Reply 22):However, while the actual Chapter 11 filing, and the circumstances of it, may have been unexpected, I think it is now fairly well established that the possibility of filing - and thus plans for it - were some way from being "a rush".

Aren't you a little surprised they have not yanked the A318s? I've never heard anything good about them (economically, operationally, etc.) and yet they are still there so far. This would be a golden opportunity to leave them on Airbus' doorstep in a steaming bag in the middle of the night.

The fuel burn is virtually the same as the A319 so that's not helping either.